EXLSERVICE HOLDINGS INC (EXLS) Stock Fundamental Analysis
NASDAQ:EXLS - US3020811044 - Common Stock
43.59 USD
-0.48 (-1.09%)
43.59 USD
0 (0%)
We assign a fundamental rating of 7 out of 10 to EXLS. EXLS was compared to 83 industry peers in the IT Services industry. EXLS scores excellent points on both the profitability and health parts. This is a solid base for a good stock. EXLS has a correct valuation and a medium growth rate. This makes EXLS very considerable for quality investing!
1. Profitability
1.1 Basic Checks
In the past year EXLS was profitable.
EXLS had a positive operating cash flow in the past year.
EXLS had positive earnings in each of the past 5 years.
In the past 5 years EXLS always reported a positive cash flow from operatings.
1.2 Ratios
Looking at the Return On Assets, with a value of 13.83%, EXLS belongs to the top of the industry, outperforming 93.98% of the companies in the same industry.
Looking at the Return On Equity, with a value of 22.27%, EXLS belongs to the top of the industry, outperforming 87.95% of the companies in the same industry.
With an excellent Return On Invested Capital value of 16.03%, EXLS belongs to the best of the industry, outperforming 90.36% of the companies in the same industry.
The Average Return On Invested Capital over the past 3 years for EXLS is significantly below the industry average of 22.12%.
The 3 year average ROIC (15.15%) for EXLS is below the current ROIC(16.03%), indicating increased profibility in the last year.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 13.83% | ||
| ROE | 22.27% | ||
| ROIC | 16.03% |
ROA(3y)11.89%
ROA(5y)10.36%
ROE(3y)20.31%
ROE(5y)17.99%
ROIC(3y)15.15%
ROIC(5y)13.79%
1.3 Margins
EXLS's Profit Margin of 12.00% is amongst the best of the industry. EXLS outperforms 85.54% of its industry peers.
EXLS's Profit Margin has improved in the last couple of years.
The Operating Margin of EXLS (15.25%) is better than 80.72% of its industry peers.
In the last couple of years the Operating Margin of EXLS has grown nicely.
With a Gross Margin value of 38.05%, EXLS perfoms like the industry average, outperforming 56.63% of the companies in the same industry.
In the last couple of years the Gross Margin of EXLS has grown nicely.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 15.25% | ||
| PM (TTM) | 12% | ||
| GM | 38.05% |
OM growth 3Y0.91%
OM growth 5Y10.78%
PM growth 3Y1.78%
PM growth 5Y9.57%
GM growth 3Y-0.74%
GM growth 5Y2.1%
2. Health
2.1 Basic Checks
EXLS has a Return on Invested Capital (ROIC), which is just above the Cost of Capital (WACC), which means it is creating some value.
The number of shares outstanding for EXLS has been reduced compared to 1 year ago.
EXLS has less shares outstanding than it did 5 years ago.
Compared to 1 year ago, EXLS has a worse debt to assets ratio.
2.2 Solvency
EXLS has an Altman-Z score of 9.90. This indicates that EXLS is financially healthy and has little risk of bankruptcy at the moment.
EXLS has a better Altman-Z score (9.90) than 92.77% of its industry peers.
EXLS has a debt to FCF ratio of 0.94. This is a very positive value and a sign of high solvency as it would only need 0.94 years to pay back of all of its debts.
The Debt to FCF ratio of EXLS (0.94) is better than 84.34% of its industry peers.
A Debt/Equity ratio of 0.24 indicates that EXLS is not too dependend on debt financing.
Looking at the Debt to Equity ratio, with a value of 0.24, EXLS is in line with its industry, outperforming 56.63% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.24 | ||
| Debt/FCF | 0.94 | ||
| Altman-Z | 9.9 |
ROIC/WACC1.7
WACC9.41%
2.3 Liquidity
EXLS has a Current Ratio of 3.15. This indicates that EXLS is financially healthy and has no problem in meeting its short term obligations.
With an excellent Current ratio value of 3.15, EXLS belongs to the best of the industry, outperforming 80.72% of the companies in the same industry.
EXLS has a Quick Ratio of 3.15. This indicates that EXLS is financially healthy and has no problem in meeting its short term obligations.
EXLS's Quick ratio of 3.15 is amongst the best of the industry. EXLS outperforms 80.72% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 3.15 | ||
| Quick Ratio | 3.15 |
3. Growth
3.1 Past
The Earnings Per Share has grown by an impressive 23.33% over the past year.
The earnings per share for EXLS have been decreasing by -11.63% on average. This is quite bad
The Revenue has grown by 15.15% in the past year. This is quite good.
Measured over the past years, EXLS shows a quite strong growth in Revenue. The Revenue has been growing by 13.15% on average per year.
EPS 1Y (TTM)23.33%
EPS 3Y-29.95%
EPS 5Y-11.63%
EPS Q2Q%22.5%
Revenue 1Y (TTM)15.15%
Revenue growth 3Y17.88%
Revenue growth 5Y13.15%
Sales Q2Q%14.74%
3.2 Future
EXLS is expected to show quite a strong growth in Earnings Per Share. In the coming years, the EPS will grow by 14.37% yearly.
EXLS is expected to show quite a strong growth in Revenue. In the coming years, the Revenue will grow by 11.71% yearly.
EPS Next Y16.86%
EPS Next 2Y15.28%
EPS Next 3Y14.37%
EPS Next 5YN/A
Revenue Next Year12.78%
Revenue Next 2Y12.13%
Revenue Next 3Y11.71%
Revenue Next 5YN/A
3.3 Evolution
When comparing the EPS growth rate of the last years to the growth rate of the upcoming years, we see that the growth is accelerating.
The Revenue growth rate is stable: in the next years the growth will be about the same than in the last years.
4. Valuation
4.1 Price/Earnings Ratio
EXLS is valuated rather expensively with a Price/Earnings ratio of 23.56.
EXLS's Price/Earnings is on the same level as the industry average.
The average S&P500 Price/Earnings ratio is at 27.17. EXLS is around the same levels.
A Price/Forward Earnings ratio of 19.76 indicates a rather expensive valuation of EXLS.
Compared to the rest of the industry, the Price/Forward Earnings ratio of EXLS is on the same level as its industry peers.
EXLS's Price/Forward Earnings ratio indicates a similar valuation than the S&P500 average which is at 22.78.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 23.56 | ||
| Fwd PE | 19.76 |
4.2 Price Multiples
EXLS's Enterprise Value to EBITDA ratio is in line with the industry average.
Compared to the rest of the industry, the Price/Free Cash Flow ratio of EXLS is on the same level as its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 25.34 | ||
| EV/EBITDA | 19.06 |
4.3 Compensation for Growth
The PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates a correct valuation of the company.
EXLS has an outstanding profitability rating, which may justify a higher PE ratio.
A more expensive valuation may be justified as EXLS's earnings are expected to grow with 14.37% in the coming years.
PEG (NY)1.4
PEG (5Y)N/A
EPS Next 2Y15.28%
EPS Next 3Y14.37%
5. Dividend
5.1 Amount
EXLS does not give a dividend.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | N/A |
43.59
-0.48 (-1.09%)
Chartmill FA Rating
GICS SectorInformation Technology
GICS IndustryGroupSoftware & Services
GICS IndustryIT Services
Earnings (Last)
Earnings (Next)
Inst Owners99.44%
Inst Owner Change-2.13%
Ins Owners0.46%
Ins Owner Change-0.02%
Market Cap7.04B
Analysts83.75
Price Target55.66 (27.69%)
Short Float %3.29%
Short Ratio2.12
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | N/A |
Yearly DividendN/A
Dividend Growth(5Y)N/A
DPN/A
Div Incr Years0
Div Non Decr Years0
Ex-DateN/A
Surprises & Revisions
EPS beat(2)2
Avg EPS beat(2)6.19%
Min EPS beat(2)5.72%
Max EPS beat(2)6.65%
EPS beat(4)4
Avg EPS beat(4)5.39%
Min EPS beat(4)4.04%
Max EPS beat(4)6.65%
EPS beat(8)8
Avg EPS beat(8)4.27%
EPS beat(12)12
Avg EPS beat(12)4.73%
EPS beat(16)16
Avg EPS beat(16)6.15%
Revenue beat(2)1
Avg Revenue beat(2)-0.19%
Min Revenue beat(2)-0.57%
Max Revenue beat(2)0.18%
Revenue beat(4)2
Avg Revenue beat(4)-0.27%
Min Revenue beat(4)-0.79%
Max Revenue beat(4)0.18%
Revenue beat(8)3
Avg Revenue beat(8)-0.41%
Revenue beat(12)6
Avg Revenue beat(12)0.42%
Revenue beat(16)9
Avg Revenue beat(16)0.99%
PT rev (1m)0.53%
PT rev (3m)0.06%
EPS NQ rev (1m)-0.69%
EPS NQ rev (3m)-4.43%
EPS NY rev (1m)1.4%
EPS NY rev (3m)1.4%
Revenue NQ rev (1m)0.55%
Revenue NQ rev (3m)-0.27%
Revenue NY rev (1m)0.43%
Revenue NY rev (3m)0.48%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 23.56 | ||
| Fwd PE | 19.76 | ||
| P/S | 3.58 | ||
| P/FCF | 25.34 | ||
| P/OCF | 21.46 | ||
| P/B | 6.64 | ||
| P/tB | 11.78 | ||
| EV/EBITDA | 19.06 |
EPS(TTM)1.85
EY4.24%
EPS(NY)2.21
Fwd EY5.06%
FCF(TTM)1.72
FCFY3.95%
OCF(TTM)2.03
OCFY4.66%
SpS12.19
BVpS6.57
TBVpS3.7
PEG (NY)1.4
PEG (5Y)N/A
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 13.83% | ||
| ROE | 22.27% | ||
| ROCE | 20.9% | ||
| ROIC | 16.03% | ||
| ROICexc | 21.27% | ||
| ROICexgc | 37.17% | ||
| OM | 15.25% | ||
| PM (TTM) | 12% | ||
| GM | 38.05% | ||
| FCFM | 14.11% |
ROA(3y)11.89%
ROA(5y)10.36%
ROE(3y)20.31%
ROE(5y)17.99%
ROIC(3y)15.15%
ROIC(5y)13.79%
ROICexc(3y)20.61%
ROICexc(5y)20.14%
ROICexgc(3y)45.95%
ROICexgc(5y)N/A
ROCE(3y)19.75%
ROCE(5y)17.97%
ROICexcg growth 3YN/A
ROICexcg growth 5Y4.53%
ROICexc growth 3Y-6.9%
ROICexc growth 5Y14.65%
OM growth 3Y0.91%
OM growth 5Y10.78%
PM growth 3Y1.78%
PM growth 5Y9.57%
GM growth 3Y-0.74%
GM growth 5Y2.1%
F-Score9
Asset Turnover1.15
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.24 | ||
| Debt/FCF | 0.94 | ||
| Debt/EBITDA | 0.71 | ||
| Cap/Depr | 87.2% | ||
| Cap/Sales | 2.55% | ||
| Interest Coverage | 15.9 | ||
| Cash Conversion | 91.68% | ||
| Profit Quality | 117.56% | ||
| Current Ratio | 3.15 | ||
| Quick Ratio | 3.15 | ||
| Altman-Z | 9.9 |
F-Score9
WACC9.41%
ROIC/WACC1.7
Cap/Depr(3y)89.55%
Cap/Depr(5y)85.41%
Cap/Sales(3y)2.98%
Cap/Sales(5y)3.33%
Profit Quality(3y)94.25%
Profit Quality(5y)118.13%
High Growth Momentum
Growth
EPS 1Y (TTM)23.33%
EPS 3Y-29.95%
EPS 5Y-11.63%
EPS Q2Q%22.5%
EPS Next Y16.86%
EPS Next 2Y15.28%
EPS Next 3Y14.37%
EPS Next 5YN/A
Revenue 1Y (TTM)15.15%
Revenue growth 3Y17.88%
Revenue growth 5Y13.15%
Sales Q2Q%14.74%
Revenue Next Year12.78%
Revenue Next 2Y12.13%
Revenue Next 3Y11.71%
Revenue Next 5YN/A
EBIT growth 1Y26.43%
EBIT growth 3Y18.96%
EBIT growth 5Y25.35%
EBIT Next Year32.08%
EBIT Next 3Y17.95%
EBIT Next 5YN/A
FCF growth 1Y112.23%
FCF growth 3Y14.72%
FCF growth 5Y11.62%
OCF growth 1Y85.69%
OCF growth 3Y13.35%
OCF growth 5Y9.78%